How to buy a house in Italy for €1?

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The cost of real estate in the UK

It has become inaccessible for many young buyers, while owners live with the dream of a second home on a sunny coast. The idea of buying an Italian apartment for just 86 pence sounds appealing.

In recent years, several small Italian towns

They made headlines by selling free houses for a symbolic price of 1 euro.

How does this scheme work and who is eligible to purchase such cheap villas on the sunny coast?

Why is Italy selling houses for 1 euro?

As young Italians increasingly move to cities and choose cosmopolitan professions over rural and public service, many beautiful remote villages in Italy are being left abandoned. They have small, aging populations that are beginning to dwindle. Some elderly Italians have found themselves without heirs and have handed their homes over to local authorities, who must decide what to do with them. Young citizens who inherit property in areas where they do not intend to live face the same situation.

Having a second home in Italy means paying taxes, so selling these unused houses at a low price can be more advantageous than keeping them. That's why around 25 Italian municipalities offer potential homeowners a symbolic price of 1 euro.

The idea is that restoring and repopulating these houses in the coming years will benefit cities more than selling them at full price. In a statement from the team at 1eurohouses.com, they said: "We don't need new buildings and new developers. The strategy for improving the housing environment and restoring our cultural identity lies in revitalizing small abandoned centers or renovating buildings in a state of neglect, the history of which is our history."

Local authorities in regions such as Emilia-Romagna, Abruzzo, and Campania also hope that the influx of new owners will stimulate the economy. They will buy local products, hire local builders, invest in local establishments and attractions, and enhance tourist appeal by creating boutique hotels or guesthouses.

What are the limitations?

You are not buying a new shiny villa - the houses selected for this scheme are often in a dilapidated state and require major renovations. You are investing in a property that needs restoration, rather than getting a move-in ready home.

However, the cost of repairs is still relatively low compared to other countries - around 20,000 to 50,000 euros depending on the size of the property. While most houses are modest village homes or cottages, some historic estates are also sold at much higher prices.

The fee for legal services when purchasing real estate abroad can amount to up to 3000 euros, and some municipalities also require a "guarantee deposit" (ranging from 1000 to 10,000 euros depending on the city and the cost of the renovation project) to demonstrate your intention to improve the property.

A plus is that Italy offers tax incentives for buyers that cover 110 percent of qualified construction costs.

You also won't be able to make indefinite promises about the renovation of your new home in the future. Owners are required to submit restoration project data within two to 12 months after purchase (depending on the location), start work within a year, and complete it within the following three years.

It is also worth noting that not all properties are sold for just 1 euro. Some popular houses become the subject of bidding, and their price can reach 5,000 or even 20,000 euros. This scheme is suitable for people who have some savings exceeding the initial euro.

Who can buy a house for 1 euro?

“Is it true or a joke?” says the section of the website case1euro.it, which lists houses priced at 1 euro that are currently for sale in Mussomeli, 60 miles south of Palermo, Sicily.

This is not a joke. The rules vary from city to city, but in the case of Mussomeli, buyers must have both financial and practical capabilities:

• Pay all expenses related to the preparation of the purchase and sale agreement (notary, registration, transfer).
• Prepare a project for the renovation of the property within a year after purchase, obtaining all necessary permits.
• Start work within two months after the date of issuance of the building permit.
• Complete the work within three years.
• Deposit an amount of £5,000, which will be forfeited if the work is not completed within three years.

In Mussomeli, you can do whatever you want with the interior of your house, but the facade must remain the same as it was before.

It is also noted that you have the right to repair the property yourself or hire workers of your choice.

French buyer Morgan Giau and her husband chose this path and told CNN in 2019: "Since we are both handy, we did most of the work ourselves, which was minimal, and it was great to see our two-bedroom house come to life again."

In most cities where the 1 euro house scheme is in place, there are similar financial requirements - you need to check the specific requirements of the city where you want to buy. Some require you to live in the house after renovation, while others allow you to purchase it for use as a vacation home or a small business, such as a guesthouse.

Could Brexit affect the ability of Britons to buy homes?

People living outside the European Union can still buy property in Italy, but only as "non-residents." This means you will pay higher taxes than locals and can stay in your Italian home for up to 180 days a year, but no more than 90 days out of every 180. To visit your home more frequently, you will need to apply for Italian residency, which includes proving that you have sufficient funds to support yourself without working in Italy.

I'm still interested. How do I get started?

You can find houses costing 1 euro on websites like 1eurohouses.com, case1euro.it, and property-in-sicily.estate, as well as on individual websites of local governments, such as Sambuca or Troina in Sicily. Auctions2Italy also lists some properties priced at 2 euros in the country, and on Europe.properties, you will find stories and guides titled "How We Did It."

American buyer Rubia Daniel, who purchased and renovated a house for 1 euro in Sicily, told Travel + Leisure earlier this year that visiting and inspecting potential homes in person is essential, as well as checking the foundation and the condition of the walls.

“Definitely don’t try to do this online - you need to be there to see and experience the process to make sure you’re making an informed decision,” said Danielle. “I wouldn’t do anything online.”

“You wouldn’t want to buy a house with collapsed walls, as this indicates foundation issues,” she advises.

Cities where the 1 euro house scheme is in effect:

• Emilia-Romagna
• Abruzzo
• Campaign
• Sicily
• Piedmont
• Le Marque
• Liguria
• Apulia